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Marubeni’s Indonesia Geothermal Venture Signs Power Supply Pact

A joint venture between Marubeni Corp., Indonesia’s PT Supreme Energy and GDF Suez SA of France signed a 30-year contract to sell geothermal power to PT Perusahaan Listrik Negara, Indonesia’s state-owned utility.

The venture will develop a 220 megawatt plant in the South Sumatra province and operation is scheduled to start in 2016, Marubeni, a Japanese trading company, said in a statement today.

The venture plans to procure the main equipment for the $900 million project from Japanese companies and secure funding through project finance with the assistance of international commercial banks and export credit agencies such as Japan Bank for International Cooperation, according to the statement.

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